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Interest rate (also called the rate of return).
For example:
What is the interest rate on a 10,000$ principle investment that pays 500$ after one year?
10000 * r = 500
r = 500 / 10000
r = .05 = 5%
Check:
10000$ @ 5%/1 yr = i
10000 * 5/100 = i
10000 * .05 = 500 ($ Interest at the end of 1 yr)
500 = 500 = true!
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Response 1:
what is the answer
d. percent of change
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Interest rate (also called the rate of return). For example: What is the interest rate on a 10,000$ principle investment that pays 500$ after one year? 10000 * r = 500 r = 500 / 10000 r = .05 = 5% Check: 10000$ @ 5%/1 yr = i 10000 * 5/100 = i 10000 * .05 = 500 ($ Interest at the end of 1 yr) 500 = 500 = true! ======== Response 1: what is the answer d. percent of change
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